Wednesday, July 29, 2015

High-profile
sporting events such as the Olympics, Wimbledon, US Open, French Open,
Australian Open, F1 tournaments, Grand Prix, Tour De France etc, brought
thousands of fans to a city or town, where the event was hostedand there were
not enough hotels or resorts to accommodate all of them Homestays
emergedas a more cost-effective option for tourists than typical hotels or
motels

The proliferation
of Universities, Colleges and B-Schools, and the need to accommodate a large
number of students, created a gap

Home-owners,
who sought to rent out a room or a portion of their home,to augment their income,
stepped in

The concept and popularity
of homesharing opened up a market, invitingattention and investment.A new breed
of service providers capitalized on the trend, bringing home-owners seeking a
renter and renters together,and managing the relationship as an intermediary. Prominent
among these are AirBnB, HomeAway and VRBO. These ‘accommodation sharing
websites’ have helped innumerable home-owners find short-term renters and havecreated
an additional income for themselves.

However, opportunity
breeds risks. There have been several cases of home owners experiencing theft,
extortion, assault, or property damage (accidental fire or flooding, in the
home) at the hands of their homeshare renters. To help home owners to protect
themselves against damage and litigation, Insurance companies offer a ‘Homesharing
Liability Insurance’.

A typical Homeowners
Insurance Policy, covers liabilities for bodily harm experienced by guests at your
home. It does not cover a commercial or business opportunity, which most
homesharing arrangements are. An exclusive HomesharingLiability Insurance policy
provides higher and better coverage in instances when the rented area (or the
entire home) has been destroyed by fire, accidentalflooding or acts of vandalism.

Coverage and Cost

Most Homesharing
Liability Insurance policies work in tandem with Homeowners’ Insurance Policies
and extend the scope,to cover:

Lawsuits from a guest for bodily injury (example: your homeshare
renter slips on the floor and falls, injuring themselves)

Loss of income as a result of damage caused to your home by your
guest (example: your guest accidentally sets a fire that engulfs the rented
area and portions of your home)

Typical Homesharing
Liability Insurance policies offer

Up to USD 1
million in Commercial General Liability insurance for bodily injury or property
damage incurred by the homeshare renter

Reimbursement up
to USD 5,000 for 90 days of lost rental income in case your rental property is
severely damaged by the actions of your guest; and when the damage exceeds
$10,000

Homesharing Insurance
Policies are very cost-effective with premiums starting at USD 36 per month. There
are options to pay in advance for the entire year, or every month,to suit your
convenience.

Home-owners and
Umbrella Liability Insurance policies do not provide cover when the homesharing
arrangement is intended to generate income. In the absence of an exclusive Liability
Insurance, you can be at risk from the actions of your homeshare renter.

Reduce these risks, reach out to an insurance company that has the expertise
to guide you and help you with getting the right cover under the Homesharing
Liability Insurance policy.

Tuesday, July 14, 2015

It
is true that renters too, have a natural tendency to accumulate
personal possessions, which have emotional / monetary value.
Consequently, it behooves that these assets be protected against damage
or theft. The “Renter’s Insurance Policy” provides coverage, protecting
your valuable goods against any mishaps and provides you with a means,
to replace your damaged or lost property.

What Protection does a Renter’s Policy Provide?

Homeowner’s policy does not cover your damages

A
homeowner’s policy subscribed by your landlord only covers the external
structure of the rented space including the walls, beams, columns,
doors and windows. It does not provide coverage for your personal
possessions or even the equipment provided by your landlord such as
refrigerators, stoves, heaters, etc.

Your Prized Possessions

An
inventory of your prized possessions will reveal that the total value
of the goods, is monetarily more than you thought they could be.
Consequently, not insuring your possessions and then having to replace
them, in the event of a mishap, could prove to be extremely expensive.
Insuring your assets, helps mitigate any unfortunate consequences.

Renter’s Insurance covers many mishaps

In
addition to loss due to theft, renter’s insurance also covers mishaps
due to fire, vandalism, electrical short circuit, lightning strike,
vehicle crash, heavy wind and hurricanes, as the latter two, can wreck
your belongings and offset your finances for some time. However,
earthquakes, floods and landslides are covered by exclusive policies.

Renter’s Insurance goes beyond just your personal belongings

Renters Insurance is quite broad and covers important situations.

a.
Renter’s liability: If there is damage to another renter’s property (or
even your landlord’s property) because of your negligence, you are
liable to pay for damages to their property. For example, water seeps
from your bathroom into the home below, and it damages the walls. You
are liable to pay for those damages, which are covered by the Renter’s
Insurance.

b.
Personal Liability: If somebody incurs bodily harm or property damage
due to you or your pet(s), you are liable to pay for their medical
expenses. Example: your pet dog bites your landlord, or a visitor slips
and falls in your home.

c.
Loss of Use: If your rental space is rendered unusable by a mishap such
as a fire, you will be forced to look for temporary accommodation,
elsewhere In such a scenario, you will be covered for additional living
expenses incurred during this period, such as hotel or temporary rental
bills, meals, laundry etc.

d.
Car Interiors: This covers all those possessions that were inside your
car when it was .damaged. This includes books, CDs, stereo or sound
systems, onboard computers, etc, which are not covered by typical auto
policies.

Renter’s Insurance is not expensive

By paying a few hundred dollars of premium every year, you can cover all your personal belongings.

About Allied Brokers

Allied Brokers is a full-service insurance brokerage. Founded in 1954, we provide insurance products throughout California and several other states. We have insurance policies and services for any of your insurance needs: Auto, Homeowners, Condominiums, Apartments, Earthquake, Flood, Renters, Business, Health, Life, Motorcycle, Boat, RV and Estate Planning. Experience the "can do" attitude of our agents.